Assignment # 2

1. Compare and contrast the four ways managers make decisions.

2. Rationality: Best decision，Managers know all the alternative and consequences decision
before making decision.
3. Bounded-rationality: Not best decision, Managers choose the "good enough" decision, Might
make wrong decision, Escalation of commitment.
4. Intuitive: Best decision based on past experience, Complement both rationality and bounded-
rationality decision making.
5. Evidence Based Management: Best decision based on past experience, Expertise and
judgement, External evidence, Opinions of stakeholders, Relevant organizational.

2. Explain the two types of problems and decisions. Contrast the three decision-making
conditions.

Managers make problem‐solving decisions under three different conditions: certainty, risk, and
uncertainty.

3. Explain Lewin’s three-step model of the change process.

Lewin developed the change model as a way to illustrate how people react when facing changes
in their lives. The three stages of this process include unfreezing (the person has an existing
state), moving or changing towards new ways of being, and then refreezing into a new state
altogether.

4. Describe how managers might change structure, technology, and people.

Organizational change is any alteration of people, structure, or technology. Change agents are
individuals who act as a catalyst for change and assume the responsibility for managing the
change process. External change agents may have a limited understanding of the organization but
are more likely to initiate drastic change. Internal change agents are familiar with the
organization, but may be reluctant to try new approaches.

Changing structure involves changing organizational structural variables. Changing technology

involves changing the way work is performed or the methods or equipment that are used.
Changing people involves changing attitudes, expectations, perceptions, or behavior.

6. How are opportunities, constraints, and demands related to stress? Give an example of each.

Opportunities,constraints and demands are all related to the stress directly.Stress is a condition in
which a person faces opportunities and demands with certain constraints related to his desire
when outcome is uncertain.

Opportunities occur daily, and can be anything from the opportunity to go large on a meal at a
fast food joint, or the opportunity to get ahead at work. They usually come with consequences,
have a limited time frame and stir up negative feelings when they are missed.
Constraints are limitations in life. These are often related to time and money - do we have all the
time we need to complete essential tasks and still enjoy leisure? Can we afford to engage in our
favored leisure activities?

Demands are the things required of us in day-to-day life. We must pick the kids up from school,
we must get everything done at work, we must do the washing and ironing, etc. They cause stress
because they are often limited by time and money, and carry consequences when they aren't met.

6. What types of planning do you do in your personal life? Describe these plans    in terms of
being (a) strategic or operational plans, (b) short or long term plans, and (c) specific or
directional plans.

We do many types of projects in our private life. These are short term plans and long term plans.
Plans can be based primarily on finances or on a sense of self-worth. For example: we are
planning to buy a new residence or a brand new car or a brand new cell phone or at the same
time as mundane errands. The turnaround time depends on the price of the item.Groceries are
purchased immediately as needed, although it takes a long time to plan for a new home. The
settings and scope change with the purpose of the purchase.

A- Strategic or operational plans: it is about building plans based on everything on techniques

and tactics. Strategic plans make it easier to build higher relationships that can be beneficial
together. In addition, the realization of investment plans and financial savings alternatives are
part of the strategic plans. Operational plans are again mainly based on day-to-day needs.For
example, groceries are purchased as needed, home maintenance including plumbing, electricity,
gas and more is done as needed and situation dictated. Operational plans in our private life help
keep the pace of our life by making sure everything runs according to pre-established terms.

B- Short Term and Long Term: As we said earlier, there are some plans that can be short term
and based entirely on others, while others are based entirely on the long term. The basis for
differentiation can be the type of financing needed, the availability of the required resources, the
need for the object or product, monetary capacity and many others. These elements affect the
timing and timing of the fulfillment of desires. Often, short-term plans are needs-driven, even
though long-term plans create prices.

C- Specific or directional: Specific plans are intentionally oriented and their objectives are very
defined.